Bengaluru: Maruti Suzuki India Limited (MSIL) will add six electric vehicle (EV) models to its portfolio over the next 6-7 years, the first of which will go on sale in a few months, its chairman, R C Bhargava told shareholders during the annual general meeting (AGM) on Tuesday.
During the AGM, he said, " EVs are a priority objective not only for Maruti Suzuki but everybody. We will be exporting the EVs to Europe and Japan."
He added that offering EV versions of all models may not be feasible. The company has 17 internal combustion engine (ICE) models, which have numerous variants.
Bhargava informed shareholders of a 'small delay' in finalising the site for a new plant with an annual capacity of 1 million units in Kharkhoda, Haryana, although it is expected to begin production by 2025-26. The company had announced the establishment of this new plant at Kharkhoda in 2022, with a proposed investment of Rs 18,000 crore.
Earlier, Suzuki Motor Corp president Toshihiro Suzuki had announced that Maruti Suzuki India (MSI) will invest Rs 35,000 crore to set up its second manufacturing facility in Gujarat, with an installed production capacity of 1 million units per annum.
Bhargava emphasised the company's belief in the importance of low-cost and small cars in India's socio-economic conditions, stating that a temporary dip in demand will not alter Maruti's strategy. The automaker expects demand for small cars to revive by the financial year 2025-26.
He also pointed out that vehicle scrapping is not happening as it should, attributing this to the lack of a mandatory vehicle fitness requirement. However, he expects this to change in the coming years with the implementation of vehicle fitness and scrapping laws.
Regarding inventories with dealers, Bhargava said, "it is nowhere near the advocated 2 months’ stock. The stock in the pipeline is around 38 days. We do have to have a little larger stock at present as the festival season is coming. I am told that by the time the year ends, the stock with the dealers will come down to about 10 days. Dealers are well compensated."
Currently, the company is exporting about 300,000 cars out of a total production of 2 million and aims to increase this to 750,000 - 800,000 vehicles by FY31.